Major Benefits of The New RERA Act For Property Buyers in Thane

Everyone dreams of buying a home in their life. However, the problem is everyone cannot afford to buy a home as the real estate prices are skyrocketing day by day in comparison to people’s income level which is increasing at a steady rate. But many homebuyers have started investing in real estate in Thane after the introduction of the Real Estate Regulatory Act (RERA) in the year 2016. Now, the real estate builders cannot afford to do any kind of mistake or dupe the customers. Earlier, every builder and developer use to have their own set of norms and no one used to follow any standard norms in the real estate industry. Builders use to follow different practices and always made a builder-buyer agreement in a manner that was in favor of the builder. To gain the trust of various homebuyers and safeguard their interest in investing in properties in Thane, the government introduced the RERA act to ensure that homebuyers are not exploited by the developers and builders. The level of transparency, accountability, and efficiency has increased in the real estate sector after the introduction of the RERA act. The RERA act solves various issues such as project delays, quality of the project, pricing of the property with transparency. The Rera act covers all sectors of the real estate industry including residential and commercial real estate.

Prior to the implementation of this RERA act, buyers sold apartments and office spaces dependent on built-up area, developed area, etc. Presently it’s a required norm for the developer to just sell flat or office space dependent on the carpet area. Which is the region which can be utilized to move upon and used (where carpet can be laid)? This implies a clear picture of the purchaser even before purchasing the property. Ordinarily, the project extends in general regarding time and cost. In some cases, the project probably won’t be finished. This ambiguity is resolved by RERA. The Act has characterized a lot of stringent standards for the engineers, the intermediary, just as the consumer. There is a struggle among various individuals as to how they see the effect of the RERA ACT – some are worried about the reasonable increment in cost of development and compliance, while others are hopeful about the consequences of the Act. The usage of the new RERA Act has included genuinely necessary preferences for the home purchasers. Or maybe, the RERA rules have set the home purchasers in a beneficial position.

Here are a few major benefits of the new RERA act for homebuyers in Thane.

Standardized Carpet Area - Every builder has a different way of calculating the carpet area of a property. But after the introduction of the RERA act, the way to calculate the carpet area has become standardized. RERA defines carpet area as the usable floor area of an apartment, excluding the area covered by the external walls, areas under services shafts, exclusive balcony or verandah area and exclusive open terrace area, but includes the area covered by the internal partition walls of the apartment in a property. There have been many cases where for the same flat one builder would calculate the carpet area as 1000 sq ft and the other would calculate it as 900 sq ft. This was a drawback as there was no standard formula for calculating the carpet area of a property. However, now it is clearly mentioned in the RERA act stating the standard formula which every builder and developer have to use to calculate the carpet area of the property.

Transparency and Accountability - As per the real estate industry experts, the RERA Act will improve the administration, bringing more transparency and responsibility into the realty part. This controller will administer all real estate transactions, hence improving the administration on the real estate sector by lessening debates and making the framework progressively straightforward and strong. The setting up of a Real Estate Regulatory Authority in Thane will acquire expanded responsibility in business sectors, consequently improving the area’s credibility score and reinstating a sense of security among stakeholders. This won’t just give clearness to the jobs and obligations of different partners, yet in addition, give a level playing field to separate among entertainers and non-entertainers. This demonstration will be useful to both developers and buyers.

Standardization of sale agreement - The Rera act has prescribed a standard format of sale agreement to be used between homebuyers and developers. Earlier, real estate agents used to insert clauses that were against homebuyers which would penalize them for any defaults. Therefore, such penal clauses are no longer part of the agreement and homebuyers look forward to more balanced agreements in the future under the RERA act.

No Delay in Projects - Real estate developer needs to give a delivery date as to when they will be giving the possession of the apartments to their customers, mentioned under the RERA act. If the builder is unable to complete the project until the delivery date then he will have to face the consequences. Also, for the builder to continue the project till completion, he will have to pay the interest payable from the due date to the date project is actually completed.

It is therefore advisable to invest in a property that is RERA registered. The real estate sector is becoming more professional and secure for homebuyers as well as builders under the RERA act.